Posted by Adam King on April 09, 2009
Serious Financial Turmoil?
April 9, 2009 – Today the gold market seems like it is headed for its third weekly drop based on speculation that unstable dollar backed investments such as stocks could continue increasing in value, yet it seems like many investors are still purchasing physical possession precious metals like the Indian gold coins and American Eagles for safe haven purposes. Although many stock indexes are increasing in value at the moment, we have to remember the long-term inflation that may result from our latest stimulus and bank bailout packages. According to Bloomberg.com, short-term fluctuation with precious metals will be directly related to risk appetite and the strength of the United States Dollar. It’s important to note that the reason why investors purchase Indian gold coins and other safe haven assets is because of inflationary and currency debasement fears, which are still very apparent in our current economy.
The gold spot price is making very small gains for the day on the NYMEX, and it is currently trading at around $881.60 per ounce, up $1.60 or .18% for the trading day, down $15.70 or 1.75% in the last 30 trading days and also down $52.40 or 5.61% in the last 365 trading days. The latest market projection by researcher, GSMS says that the spot price will reach a record high this year, possibly surpassing $1100 per ounce. Now may be a good time to purchase physical possessions metals like the Indian gold coins in order to profit if the spot price reaches projected levels.
Senior Staff Writer – Certified Gold Exchange
US Gold Market